The President of the Republic, Nana Addo Dankwa Akufo-Addo, has assured Ghanaians and the international community that the country’s economy is on a strong recovery path.
During the presentation of credentials to nine newly appointed diplomats at the Jubilee House, the President emphasized significant economic progress and the resilience shown by Ghanaians in overcoming recent global challenges.
“In the face of these challenges, Ghana has demonstrated remarkable resilience,” President Akufo-Addo stated. “We have implemented a comprehensive strategy to revitalize our economy, and I am pleased to see that our efforts are paying off.”
The President highlighted an impressive growth rate of 4.7% in the first quarter of 2024, surpassing the IMF’s forecast of 3.1%. This growth, driven by a 6.8% expansion in the industrial sector and a 4.1% increase in the agricultural sector, underscores the effectiveness of the government’s economic policies. President Akufo-Addo also emphasized the importance of Ghana’s successful debt restructuring initiatives.
“We have successfully completed three major debt restructuring operations,” he noted, pointing out the significant relief achieved through domestic debt restructuring, external bilateral debt restructuring, and negotiations with commercial bondholders.
The domestic debt restructuring, which saw nearly 95% participation, reduced coupon rates from 21% to an average of 9% and extended maturities. This provided the government with much-needed breathing room and set the domestic debt-to-GDP ratio on a clear downward trend, expected to reach 55% by 2028.
The President also outlined the successful negotiations with external bilateral creditors, resulting in cash flow relief of approximately $2.8 billion. This relief, spanning from 2023 to 2026, enables the government to redirect funds towards critical infrastructure and development projects that were previously stalled due to financial constraints.
“Our economic recovery is firmly on track,” the President affirmed, attributing this progress to both government initiatives and the resilience of the Ghanaian people. He commended the collective effort and unwavering spirit shown by Ghanaians during these challenging times.
The Ghana CARES ‘Obaatampa’ Programme, launched in 2021, continues to play a crucial role in the nation’s economic strategy. This ambitious program focuses on supporting commercial farming, bolstering the light manufacturing sector, developing engineering and ICT industries, accelerating digitalization, and creating jobs for youth.
“The Ghana CARES ‘Obaatampa’ Programme lays out our roadmap for revitalizing the Ghanaian economy,” President Akufo-Addo explained. “Each of you must support and contribute to the success of this program, including attracting as much foreign investment into the country as possible.”
Despite challenges posed by global events like the COVID-19 pandemic and the conflict in Ukraine, the President remains optimistic about Ghana’s economic future. He reiterated his previous stance on prioritizing economic recovery over economic growth during the pandemic.
“I previously stated that we knew how to revive the economy but did not know how to revive people’s lives,” President Akufo-Addo reminded the audience.
“This statement was made to justify the extraordinary expenditures made during the pandemic to provide relief and protection to the population. I believe, with humility, that the nation now acknowledges the merit of my statement, as our economic recovery is well underway.”
President Akufo-Addo’s confidence in Ghana’s economic revival is bolstered by ongoing efforts to attract foreign investment and enhance international cooperation.
The newly appointed diplomats are tasked with promoting Ghana’s economic agenda on the global stage. “Your main duty is to showcase Ghana as a stable, peaceful, and forward-looking nation,” the President instructed the new envoys.
“This involves engaging with your host countries to build strong bilateral relationships, attract investments, and advocate for Ghana’s interests.”
With these positive signs and a comprehensive economic strategy in place, Ghana is well-positioned to achieve sustainable growth and development.
Distributed by APO Group on behalf of The Presidency, Republic of Ghana.